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Samsung completely reworks India strategy; will focus on ‘mass segment’

The company continues to face harsh competition from players like Xiaomi.

  • Published: August 23, 2018 12:22 PM IST

When it comes to the mobile industry, Samsung is undoubtedly a force to be reckoned with. According to the numbers released by IDC a few months back, the chaebol is (still) the largest smartphone manufacturer in the world. And if Samsung wants to continue being that, it can’t afford to ignore India, the fastest-growing smartphone market in the world.

Since it’s an extremely price-sensitive market, in India, sales are largely driven by the mid-range and affordable segments. While Samsung does have devices/line-ups (e.g. Galaxy J-series) catering to these price brackets, it has been facing intense competition for quite some time now, thanks to the emergence (and subsequent rise) of Chinese players like Xiaomi, Oppo, and Vivo.

To counter the onslaught from China, Samsung has completely “overhauled” its India strategy, and will now put significant focus on the mass-market segment.

The information was given by DongJin Koh, President of the Mobile Communication Business at Samsung Electronics, while speaking to the reporters. Koh was in India to launch the company’s latest flagship phabletSamsung Galaxy Note 9 – in the country.

According to a report by Business Standard, Koh said that he’s aware of the ‘harsh’ competition that Samsung is facing in the market.

“In the mid-end mass segment, the competition is very harsh. It’s not just the products, we must constantly communicate effectively about Samsung, closely work with the government, and focus on CSR activities. These steps will be important in helping us gain the trust and love of Indian consumers,” Koh was quoted as saying by Business Standard.

So, what exactly is Samsung’s reworked strategy? It seems it’s all about products that stand out from the competition because of their features and innovations.

Watch: Samsung Galaxy Note 9 First Look

Koh said, “In October-November, we will start launching products that will differentiate by features and technology through innovations that are meaningful to customers here.”

There’s no denying the fact that Samsung realizes the part India has to play in the former’s plans to continue being a dominant force in the world’s mobile industry. This is why the company recently opened the world’s largest mobile phone manufacturing plant in Noida, Uttar Pradesh.

It’ll be interesting to see how Samsung’s renewed focus on India and its volume-driving ‘mass segment’ helps it in staving off competition from brands like Xiaomi, whose own strategy seems to focus launching flagship-grade smartphones at dirt-cheap prices.

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  • Published Date: August 23, 2018 12:22 PM IST